LinkedIn Achieved Record Revenue with Premium Subscriptions in 2024

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Although LinkedIn’s financial influence on Microsoft’s portfolio has lessened recently, the massive professional networking site is nevertheless growing rapidly.

Microsoft revealed in its second-quarter financial report on Wednesday that LinkedIn’s revenue had increased by 9% year over year. The revelation drew greater attention as Microsoft CEO Satya Nadella disclosed in his earnings commentary a noteworthy accomplishment: LinkedIn’s Premium subscription service reached an all-time high of $2 billion in sales over the preceding 12 months.

Despite approaching 1 billion users across both its free and Premium categories, LinkedIn has not disclosed its overall income. Additionally, its several business segments’ success indicators are still unknown.

Based on the information available, the platform recorded $1.7 billion in revenue from Premium subscriptions for the 12 months that ended in March 2024. According to industry estimates, LinkedIn will make about $16.2 billion in total income by 2024, with Premium subscriptions making up about 12.5% of that amount.

These figures, however, are insufficient to reflect the profits Microsoft is generating from its AI initiatives. AI operations hit a $13 billion annual revenue run rate this quarter, a startling 175% rise from the prior year, CEO Satya Nadella noted on Wednesday’s results call.

LinkedIn, on the other hand, has a more cautious prognosis for the future, predicting “low- to mid-single digits” revenue growth, mostly as a result of difficulties facing its Talent Solutions subsidiary.

In any case, getting $2 billion in income from Premium subscriptions is still a significant stride for LinkedIn, which has been improving its paid membership tiers for some time. As a direct result of LinkedIn’s attempts to broaden its Premium products, the company told TechCrunch that this number marks an increase of roughly 50% over the previous two years.

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